Fintech Business Weekly, which broke the story first, said that the San Mateo-based business recently notified users of its intention to discontinue the app, citing Reddit sources.

According to an email purportedly issued to clients and circulated on Reddit, PrizePool ceased to take new registrations on August 23.

Additionally, according to the email, PrizePool has designated September 19 as the deadline for user-initiated withdrawals. Accounts will cease on September 23, four days later.

Before this date, customers are advised to take money out of their accounts; any money that is left over will be transferred back to the associated accounts on September 23.

We would like to inform you that PrizePool is being purchased. Unfortunately, this means that your PrizePool account will be closed on September 23rd as we wind down the PrizePool app,” the email reads.

The precise party that has expressed interest in purchasing the business is unknown, and PrizePool did not reply to FinTech Futures' request for comment.

Based on a $10 million Series A concluded in 2021, PrizePool was founded in 2019 by former Apple managers Franklyn Chien and Joe Woo. The company offers a consumer app in the US that combines “the thrill of a sweepstakes (like a no-risk lottery) with the benefits of savings,” according to its website.

The app gives users the opportunity to earn up to 100% cashback on transactions by combining account spending with a rewards feature.